GROUP MEMBERS

 WASEEM MURTAZA HUSSAIN

PIZZA HUT RESTURANT

CHAPTER INDEX

HISTORY • CUSTOMER LOYALITY PROGRAMES • SWOT ANALYSIS INTRODUCTION • • • COMPETITORS • GLOBALLY LOCATIONS • CORPORATE SOCIAL RESPONSIBILITY CONCLUSION PIZZA HUT ACHEIVEMENTS • • • RECOMMENDATIONS • INTERNATIONAL • RESOURCES ENVIRONMENT FACTORS • MARKETING PROCESS • MARKETING STRATEGIES • MARKET SEGMENTATION • TARGET MARKET • VALUE PROPOSITION • POSTIONING • SLOGANS • UNIQUE SELLING PROPOSITION • MARKETING MIX WASEEM’S PORTION

 HISTORY  INTRODUCTION  PIZZA HUT ACHIEVEMENTS  GLOBALLY LOCATIONS  INTERNATIONAL ENVIRONMENT FACTORS HISTORY HISTORY

• 1958 – Frank and Dan Carney open the first Pizza Hut in Wichita, Kansas • 1972 - 1000 restaurants are open throughout the USA • 1973 - Pizza Hut went international • 1977 - PepsiCo bought Pizza Hut. • 1982 - JV between PepsiCo and Whitbread • 1997 - Pepsi Moved aside for Drinks and Tricon Global Came into being • 2002 - Tricon Global became YUM! Brands Inc. • 2006 – WB sold their share of the JV to Yum! • 2008 - Bought Godfather's Pizza in Ireland with 28 stores. INTRODUCTION INTRODUCTION

• Type: Wholly owned Subsidiary • Founded: Wichita, Kansas, USA, 1958 • Headquarter: Addison, Texas, USA • Founder: Dan and Frank Carney • Slogan: NOW YOU ARE EATING • Employees: 300,000+ • Parent: Yum! Brands since 1997 • Derived: “Pizza” derived from Latin word

“Picea", • Prepared: Pizza is a meal prepared in plate, made

of bread WORLD WIDE ACHIEVEMENTS OF PIZZA HUT HISTORY • Pizza hut are the world's largest user of cheese, Over the course of a summer it is estimated that Pizza hut uses a 100 million pounds of cheese. Pizza Hut uses more than 300 million pounds of cheese annually. • Pizza Hut purchases more than 3 percent of all cheese production in the United States , which requires a herd of about 170,000 dairy cows to produce it. • Gorbachev (the former president of the USSR) also played in a Pizza Hut commercial. • In 2001 Pizza Hut sponsored a pizza delivery to the international space station. • The oldest Pizza Hut that is still functional is in Wichita, Kansas. GLOBALLY LOCATIONS INTERNATIONAL ENVIRONMENTAL FACTORS

 Pizza hut strictly follows international environmental boundaries for wide range of customer experience such as;

 PEST

1. Political Factors 2. Economical Factors 3. Social Factors 4. Technological Factors

INTERNATIONAL ENVIRONMENTAL FACTORS INTERNATIONAL ENVIRONMENTAL FACTORS SAIMA’S PORTION

MARKETING PROCESS MARKETING PROCESS MARKETING PROCESS

• Understand the Marketing Place, Needs, Wants & Demands • Designing a Customer Driven Strategies • Prepare a Marketing Plan • Building Customer Relationship • Capture value from customers in return MARKETING PROCESS

1. Understand the Market Place,Needs,Wants & Demands:

• Being lover of fine food Italians imported this terrific dish to America. • They always add something new to their menu, trying to reach new markets. • They offered many different food items for customers who did not necessarily want pizza. • They are still using the diversification of their pizza according to culture & people regional values. • They offer different varieties of pizza according to customer’s want & purchasing power e.g. The Extreme pizza. MARKETING PROCESS

 Designing a Customer Driven Marketing Strategy:

• Their main strategy that they still follow today is the diversification of products they offer.

• Other strategies followed by pizza hut are C.H.A.M.P.S. & 3 F’s.

• According to customer’s demand they make their strategies by keeping following points in mind;

 Which customer they will serve?  How will they serve these customers?

MARKETING PROCESS

 Which customer they will serve?

. They serve their customers on the bases of income level, age through market segmentation.

. Their main segment which they has captured are combination of higher incomes & dual career families.

. Their maximum market segment is younger generation ranges from 12-30. MARKETING PROCESS

 How will they serve these customers?

. They fulfill their customer’s demand through;

 Value proposition  Positioning  Unique selling proposition (USP) MARKETING PROCESS

 Prepare a Marketing Plan:

• They develop best product with the resources available. • Their marketing plan is comprises on 4P’s;

 Product  Price  Place  Promotion MARKETING PROCESS

 Building Customer Relationship:

• They build strong relationship with customer by offering them best pizza and they create customer delight through;

 Customer Relationship Management (CRM)  Partnership Relationship Management (PRM) MARKETING PROCESS

 Customer Relationship Management (CRM):

 In 1995 they began two customer satisfaction program;

. 1-800 customer hot line & a customer call back program. . They’ve full service restaurant as well as delivery services.

 Crewmember at pizza hut strive each day to provide ‘customer mania’.  They also offer two products within single price. MARKETING PROCESS

 Partnership Relationship Management (PRM):

 They’ve inside & outside partners e.g customers, competitors, suppliers.  Functional department corporate & focus on an area such as marketing, HR.  In 1977 Pepsi co bought pizza hut & 1982 they stared joint venture with Whitbread.  In 2006 Whitbread sold their share of joint venture to YUM! Brands Inc. Pizza hut UK Ltd was now 100% owned by Yum! MARKETING PROCESS

 CAPTURE VALUE FROM CUSTOMER IN RETURN:

• Pizza hut is committed to providing uncompromising product quality offering customers the highest value for money & giving service that is warm, friendly & personal.

• They also follow social factors to maintain their image through corporate social responsibility. ALVINA’S PORTION

 MARKETING STRATEGIES  MARKET SEGMENTATION  TARGET MARKET MARKETING STRATEGIES MARKETING STRATEGIES

• Mission statement • Vision • Objectives & Goals • Business Portfolio Analysis • Coordinate Functional Strategies MARKETING STRATEGIES

 Mission statement:

“To be the best pizza for every pizza occasion” “ Alone we are delicious, Together we are YUM!”

We are P.E.A.R.L.S PASSION for excellence in Doing everything EXECUTE with positive energy and need ACCOUNTABLE for growth in customer satisfaction RECOGNIZE the achievement of others and have fun doing it LISTEN and more importantly, respond to the voice of the customer. MARKETING STRATEGIES

Vision:

To make the people know that for all the eating items they desire to eat can be made available in minimum time without our effort excluding money.

 To improve the well being of our customers, community and people connected to our enterprise. “RUN GREAT RESTURANTS” MARKETING STRATEGIES

 Objectives & Goals :

• Our goal is to reach 85% recognition of the new product in our target market. • As with all businesses, the most important goal of a company is to increase revenue and profits. • Customer satisfaction is for most. • Practice what we preach: integrity, ethics and open communication

MARKETING STRATEGIES

 Business Portfolio Analysis:

• STARTERS • SOUPS & SALADS • PASTAS • SANDWICHES • PIZZAS • DESSERTS • BEVERAGES

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HIGH LOW MARKET SHARE MARKETING STRATEGIES

 Coordinate Functional Strategies:

These strategies interrelate all these departments like;

• Marketing Department • Cooking Department • Research & development Department • Selling Department • Human Resource Department • Finance Department RELATIVE MARKET SHARE

• Pizza hut is the one who got the bigger MARKET SHARE market share globally.

It is having 48% of OTHE RS 32% • PIZZA HUT overall pizza market in PIZZA HUT 48% DOM INO'S the world. OTHERS

DOMINO'S 20% • In Pakistan Pizza Hut having 57% market share in market because they are market leader MARKET SEGMENTATION MARKET SEGMENTATION

• The Segments Pizza Hut is Working on  Higher Income  Dual Career Families  Age 12-30 Years

• Geographic Segment • Demographic Segment • Behavioral Segment • Psychographic segmentation TARGET MARKET TARGET MARKET

• Pizza hut have target the families who like to go out for dinner once in a week.

• They also target teenagers of school.

• Spending habits of college freshmen also indicates a high percentage of money being spent on non-essential items.

• Pizza Hut has made delivery services for those customers who like to have pizzas in their home with their families or friends. MARRIUM’S PORTION

 VALUE PROPOSTION  POSITIONING  SLOGANS  UNIQUE SELLING PROPOSITION  BUYING BEHAVIOUR  MARKETING MIX (PRODUCT, PRICE) VALUE PROPOSITION VALUE PROPOSITION

 Pizza Hut will also have to meet up the inspirational value proposition for its pizzas in smaller towns, which is again tricky POSITIONING POSITIONING

• Pizza hut have made many ways to position their products Like; • Advertisements in which they have differentiate their pizzas in quality. (advertisements through Newspaper, Television, Radio, and Billboards) • Uniqueness & Taste. • Varieties. • Worldwide and in Pakistan, Pizza Hut has come to become synonymous with the

‘Best pizzas under one roof‘ SLOGANS SLOGANS

We have Pizza Now you’re eating Making it great! You'll love the stuff we're made of. The best pizzas under one roof. Gather 'round the good stuff. Share the good times UNIQUE SELLING PROPOSITION UNIQUE SELLING PROPOSITION

• To best position your practice, you need to develop a powerful and compelling unique selling proposition (USP).

• What is a USP? A unique selling proposition is a proposition that competitors cannot make or have not made.

“Pizza Hut- Fresh, hot pizza delivered in thirty minutes or less - or it is free” BUYING BEHAVIOUR OF CUSTOMERS BUYING BEHAVIOUR OF CUSTOMERS

• Customer follows variety seeking buying behavior in buying the pizza.

• This not because of the dissatisfaction of the product or the brand, it’s only for the sake of varieties. MARKETING MIX MARKETING MIX

Pizza Hut introduced several locally- influenced products according to the taste buds of the Pakistani market. • Product • Price • Promotion • Place MARKETING MIX

Variety: Large Variety of Taste e.g. Cheesy Bites, Stuffed Crust, Hand- • Product Tossed, Thin 'N Crispy, Bigfoot etc… • Price Quality: • A large number of Market share is with Promotion Pizza Hut Only Because of their High • Place Quality Pizza

Design: Always Round Pizza

Features: Each Variety is Grouped on different Tastes.

Packaging: Delivery through Hot Oven in Boxes MARKETING MIX

• Pizza hut is using Market Skimming Price Strategy. • Low price for meal and • Product expensive for just one • Price • Coupons Worldwide and Gift • Promotion Card in Developed Countries • Place • Charging Method in Pakistan Price x 21% Tax e.g. For a Pizza of 999 you will Pay Rs. 1208 USMAN’S PORTION

 MARKETING MIX (PROMOTION, PLACE)  CUSTOMER LOYALITY PROGRAMS  SWOT MARKETING MIX

Advertising: • Product •Bill Boards • Price •TV Ads •News Papers • Promotion • Place

Personal Selling:

•Visit to School & Colleges MARKETING MIX

Sales Promotion:

•Pizza Hut offers annually an "All you can eat" in the Holy month of Ramadan. • Product •Double Masti, •Meal Deals • Price •Midnight Deals • Promotion • Place MARKETING MIX

Sponsorships:

•In 2000, Pizza Hut was a part-time • Product sponsor of Galaxy Motorsports •Pizza Hut was the shirt sponsor of • Price English Football Club • Promotion •In 2005, Pizza Hut sponsored “The Simpsons” on Channel 4 • Place •In March 2007, Pizza Hut partnered with Verizon Wireless to offer a free LG mobile phone with the purchase of a Cheesy Bites Pizza. •2007-08 Pizza Hut is a sponsor of the Newcastle Vipers ice hockey team for the season in the UK MARKETING MIX

•Having 34,0000 outlets in 100 Countries •In Pakistan 38 outlets in 9 Cities • Product • Price •Sport Arena’s, Major Airports & Shopping Mall • Promotion • Place •More accessible to the customer

•Channel: Selling through Take In, Dine in, Home Delivery MARKETING MIX

• Product • Price • Promotion • Place

• In Pakistan, Pizza Hut introduced itself in 1993. Have multiple outlets in 9 cities. • These outlets offer a wide variety of pizza, combining western and eastern recipes. MARKETING MIX

• Product • Price • Promotion • Pizza Hut Delivered Pizzato space in Year2001 Which made them More • Place Famous and a New Slogan came into Being ,that

“Wherever there is life, there will be Pizza Hut pizza” CUSTOMER LOYALITY PROGRAMS CUSTOMER LOYALTY PROGRAMS

• Pizza Hut first time in its history’ pizza hut introduced a customer satisfaction hotline.

• Managers with weekly feedback from their customers’ pizza hut hoped the feedback would strengthen operations within the control of each restaurant manager.

• They offer variety of local dishes according to demand and liking of customers for loyalty purpose. SWOT ANALYSIS SWOT ANALYSIS

• Strengths • Weaknesses • Opportunities • Threats SWOT ANALYSIS

• Strengths • Weaknesses • Opportunities • Threats SWOT ANALYSIS

• Strengths • Weaknesses • Opportunities • Threats SWOT ANALYSIS

• Strengths • Weaknesses • Opportunities • Threats NAILA’S PORTION

 COMPETITORS  CSR ( CORPORATE SOCIAL RESPONSIBILTY)  CONCLUSION  RECOMMENDATIONS  RESOURCES COMPETITORS COMPETITORS Globally Locally

Shakey Pizza since 1959 Chief Burger Domino Pizza Pak Bakers Pizza Ville – Canada Rahat Bakers Little Caesar's Italian Pizza Pizza INN Pizza Bella Papa john’s Al- Farno Chuck E. Cheese's Rahat Bakers California Pizza Kitchen Papa Sallis Little Caesars Pizza KC Grills Papa Murphy's Itallian Oven Hungry Howie's Pizza  Frozen Pizzase Peter Piper Pizza Pizza Paradise CORPORATE SOCIAL RESPONSIBILITY CORPORATE SOCIAL RESPONSIBILITY

Here are a couple of the year’s amazing accomplishments Yum! Listed in their report:

•1.6 million People saved from starvation last year.

•36 million dollars donated to the United Nation's World Food Programmed and other hunger relief agencies.

•1.4 million Employees mobilized in the effort to stave off hunger. CORPORATE SOCIAL RESPONSIBILITY

In Pakistan Pizza Hut play following roles for social point of view;

• Pizza hut also raise funds for IDP’S.

• PIZZA HUT also creates funds and goods for earthquake victims. CONCLUSION CONCLUSION

• Need to be just a step ahead…in sync with the consumer’s perception of value. • Customers move to the lower cost provider when marketers stop giving them reasons not to. • “Never before, never again” • “Strategy is only as good as its execution” • Not just product, but an experience. • Its strategies are successful and there is flexibility in the strategies, as they can be changed with the changes in the market conditions as well as the targets. RECOMENDATIONS RECOMENDATIONS

• Pizza Hut should focus on more advertisements. • Should decrease the variety-seeking buying behavior • Membership or discounts cards for the loyal customers. • Should sponsor more concert and games in Pakistan • Should make stalls in universities and colleges • Should make online ordering system RESOURCES RESOURCES

 www.definitions.com  www.answers.com  www.about.com  www.wikipedia.org  www.pizzahut.com  www.google.com QUESTIONS